If you’re a South Dakota political history buff, some of the best content you’ll hear this week is the latest podcast from our friends at Dakota Town Hall, where they’ve brought Senate President Pro Tempore Lee Schoenbeck, and former Janklow confidante’ & Lobbyist Harry Christianson together for part 1 of their stories about former Governor Bill Janklow.
Senate President Pro Tempore Lee Schoenbeck issued the following statement today, following the announcement of the resolution of the Senator Jessica Castleberry matter, along with her subsequent resignation:
Senator Castleberry has been a valued member of the senate, ever since her appointment by Governor Noem. She obviously made a mistake and she’s owned it and taken responsibility.
The executive board needs to take the process up at our November meeting. The system safeguards are the Governor, Auditor, Treasurer, and the individual judgment of each legislator. We need to look at the contracts and understand what controls are in place, or what changes need to be made to uphold the Constitution and see that it doesn’t happen again. Everyone wants that.
Given the high profile of this matter, along with other legislators being included on state contracts, it’s sure to be a big topic in the upcoming session.
Attorney General Jackley Announces Settlement With Sen. Castleberry on Restitution Of State Funds
PIERRE, S.D. – South Dakota Attorney General Marty Jackley announces an agreement has been reached with State Senator Jessica Castleberry to pay back more than $499,000 in COVID funds which she received for her preschool daycare centers in Rapid City.
On July 25, Governor Kristi Noem requested that the Attorney General’s Office investigate possible constitutional and statutory violations committed by Senator Castleberry in receiving more than $600,000 in COVID funds. The funds were approved and paid by the State Department of Social Services.
In a July 26 letter to Senator Castleberry, Attorney General Jackley wrote that the State Supreme Court has ruled that the State Constitution prohibits state legislators from receiving such funds and requested that the Senator repay the funds. Further investigation ensued and a repayment settlement with the Senator has been reached.
Attorney General Jackley’s full statement:
“Our State Constitution prohibits a state legislator from receiving funds he or she is responsible for overseeing. The Attorney General’s investigation has determined that $499,129.79 were inappropriately received by Senator Castleberry and a repayment plan for those taxpayer funds has been established. The investigation further determined that an additional $104,100, that has not been included, passed through directly to qualified needy families and their children, and not to the benefit of Senator Castleberry. The investigation did not reveal any abuse in Senator Castleberry’s expenditure of the $603,229.79 in funds, and all funds were spent for DSS approved purposes. I would like to further thank the Governor’s Office and Senator Castleberry for their cooperation during this investigation.”
A copy of the agreement between the Attorney General’s Office and Sen. Castleberry can be found here.
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Castleberry Settlement Agreement by Pat Powers on Scribd
As noted in my e-mail box, today is the last day to register for the 2023 Midwest Ag Export Summit, with the following speakers:
2023 SPEAKERS
You can find out more and register at the Ag Expo’s website here.
KELOland is reporting that following today’s press conference with Attorney General Marty Jackley announcing the status of the Castleberry investigation over her business’ receipt of state monies, Senator Castleberry has announced her resignation from the South Dakota State Senate:
Minutes after the news conference ended, Castleberry, who represents District 35 in eastern Rapid City, announced her resignation.
“I formally resign from my position in the South Dakota Senate,” Castleberry said in an emailed statement. “I was humbled to be appointed and honored to be elected. Thank you for the opportunity to serve the people of the state of South Dakota.”
She said she is “glad speculation from other state departments and the executive branch regarding my ethics and intentions can be laid to rest.”
I think the Senator as attested to by the AG has been an open book and cooperated fully, but unfortunately with the wild west of COVID funds, had received advice that didn’t prove true, and made an honest mistake.
The Attorney General is holding a press conference at the moment with regards to the COVID relief funds that went to State Senator Jessica Castleberry’s day care business as they attempted to provide services during the pandemic.
It appears that $104,100 is not being required to be given back to the state, as they were direct pass through dollars to families, but $499,129 will be required to be repaid, as ineligible to have been received by the business under constitutional prohibitions for legislators receiving state funds.
A payment plan has been set up, where Senator Castleberry will be required to repay funds at the rate of $2400 monthly, at the federal interest rate (currently 4.03%). While some funds went directly to families, unfortunately, nearly half a million was considered inappropriate under the constitution, and must be repaid back to the State of South Dakota.
Jackley remarked that Senator Castleberry has been acting in cooperation with the investigation, providing full access to her financial records, including tax returns, financial statements, and e-mails, and all funds went towards DSS approved expenditures for day care related expenses.
A copy of the repayment plan agreement will be public, and will be released. Jackley said in looking at the plan, they determined that a payment plan must be “realistic and achievable,”and they believed that it will be payable over 20-30 years. In response to a question, Jackley noted that under the constitution, Senator Castleberry’s business would be eligible for state funds after the Senator is out of office for a year.
Attorney General spokesman Tony Mangan noted that a press release and the settlement will be disseminated within the hour.
Fiegen Runs for PUC Re-Election
Kristie Fiegen, Chairperson of the South Dakota Public Utilities Commission, announced her candidacy for re-election on Wednesday evening at the Turner County Fair in her hometown of Parker, SD. The Public Utilities Commission is led by a three-member elected commission who has a regulatory role with public utilities, grain warehouses and grain buyers. In addition, the Public Utilities Commission serves in a judicial role, evaluating facts and evidence presented in permit applications for energy projects.
“South Dakotans want a PUC commissioner who is fair and honest,” Fiegen said in her announcement. “As your PUC commissioner, I will keep utility companies accountable to the people and advocate for reliable service at fair rates.”
Since joining the commission, Fiegen has focused on three main areas: First, Kristie is a consumer advocate for South Dakota utility consumers and keeping rates reasonable while providing reliable service. Keeping the lights on is essential to our state as President Biden’s radical anti-fossil fuel energy policy is causing the lights to go out. We must have “all above energy” to ensure reliability of our electricity.
Second, Commissioner Fiegen advocates for expanded utilities such as broadband, cell phone coverage, and electric transmission infrastructure which are all important to rural South Dakota. South Dakotas in every corner of our state should have high speed internet and be able to have access to worldwide commerce, online education, and new health care opportunities.
Third, Kristie does her day-to-day work with the utmost respect for the law and facts in every decision she makes. Kristie’s detailed evaluation of each case, impartial judgment, fair decisions, and hard work are what she is known for. Her reputation for protecting the process and citizens is important in how she looks out for you every day by placing honesty and integrity at the base of everything she does.
Fiegen is asking to be nominated at the State Republican Party Convention in June 2024, and re-elected in the general election in November 2024.
Fiegen was elected to the commission in November 2012 and re-elected in November 2018. Prior to serving on the commission, Kristie was the state-wide Executive Director for Junior Achievement of South Dakota for 17 years. She was elected to four terms in the South Dakota House of Representatives, serving the taxpayers of District 11 from 1993 to 2001. Kristie and her husband Tim, have two adult sons, Alex and his wife McKenna and Jackson and his fiancé Mara.
MEDICAL MARIJUANA OVERSIGHT COMMITTEE TO MEET
PIERRE – The Medical Marijuana Oversight Committee will hold its first meeting of the 2023 Interim on Monday, August 21, 2023, beginning at 9:00 a.m. (CT).
he meeting is being conducted in Room 362 of the State Capitol in Pierre, South Dakota. The committee will select a Chair and Vice Chair; discuss the efficacy of statutes and rules related to medical marijuana; and hear presentations and take testimony from sectors impacted by South Dakota’s medical marijuana laws including state agencies, the medical marijuana industry, and the public. The full agenda is available online.
Members include Senators Jim Mehlhaff (R-Pierre) and Erin Tobin (R-Winner); Representatives Roger DeGroot (R-Brookings) and Curt Massie (R-Rapid City); and non-legislators Francine Arneson, Brian Doherty, Katie Kassin, Brian Mueller, Kristi Palmer, Jon Thum, and Rachel Waddell.
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If you recall the story earlier this year that Bob Braun, Superintendent of the Aberdeen Water Treatment plant, had some harsh words for his former employer, as in a very public tirade, when he exposed a litany of employee issues that he was not allowed to take any action on, as well as delays that increased costs for taxpayers, because they were held for no discernible reason. He also explained how he was denied the ability to get surgery by his employer, laying most of the blame at the feet of the City Manager, Joe Gaa. Of course, the city claimed all was well.
Now, it looks as if the city manager, Joe Gaa, has decided that it might be a good time “to move closer to family.”
Aberdeen City Manager Joe Gaa is departing for Iowa after working in the Hub City for three years.
and..
Gaa is expected to start in Marshalltown as early as next month.
In a statement to Dakota News Now, Gaa said the move to Iowa will allow him to be closer to family.
Gotta love city politics. Never a dull moment.